FAC Explorer

Audit 384971

FY End
2025-06-30
Total Expended
$2.00M
Findings
2
Programs
8
Organization: City of Wells, Nv (NV)
Year: 2025 Accepted: 2026-02-02
Auditor: EIDE BAILLY LLP

Organization Exclusion Status:

Findings

ID Ref Severity Repeat Requirement
1171933 2025-002 Material Weakness Yes I
1171934 2025-003 Material Weakness Yes L

Programs

ALN Program Spent Major Findings
66.447 SEWER OVERFLOW AND STORMWATER REUSE MUNICIPAL GRANT PROGRAM $686,179 Yes 2
14.228 COMMUNITY DEVELOPMENT BLOCK GRANTS/STATE'S PROGRAM AND NON-ENTITLEMENT GRANTS IN HAWAII $300,000 Yes 0
20.106 AIRPORT IMPROVEMENT PROGRAM, INFRASTRUCTURE INVESTMENT AND JOBS ACT PROGRAMS, AND COVID-19 AIRPORTS PROGRAMS $85,587 Yes 0
10.569 EMERGENCY FOOD ASSISTANCE PROGRAM (FOOD COMMODITIES) $53,484 Yes 0
21.027 CORONAVIRUS STATE AND LOCAL FISCAL RECOVERY FUNDS $52,014 Yes 0
81.128 ENERGY EFFICIENCY AND CONSERVATION BLOCK GRANT PROGRAM (EECBG) $44,953 Yes 0
66.811 BROWNSFIELD GRANT $13,124 Yes 0
93.045 SPECIAL PROGRAMS FOR THE AGING, TITLE III, PART C, NUTRITION SERVICES $3,451 Yes 0

Contacts

Name Title Type
J89EYVJKEHR3 Samantha Nance Auditee
7757523355 Teri Gage Auditor
No contacts on file

Notes to SEFA

The accompanying Schedule of Expenditures of Federal Awards (the Schedule) includes the federal award activity of City of Wells under programs of the federal government for the year ended June 30, 2025. The information is presented in accordance with the requirements of Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance). Because the Schedule presents only a selected portion of the operations of City of Wells, it is not intended to and does not present the financial position, changes in financial position, or cash flows of City of Wells.
Expenditures reported in the Schedule are reported on the modified accrual basis of accounting. When applicable, such expenditures are recognized following the cost principles contained in the Uniform Guidance, wherein certain types of expenditures are not allowable or are limited as to reimbursement. No federal financial assistance has been provided to a subrecipient.
The City of Wells has not elected to use the 10% de minimis cost rate
Nonmonetary assistance is reported in this schedule at the fair market value of the commodities received and disbursed. At June 30, 2025, the City had food commodities totaling $6,556 in inventory.
The Schedule includes $59,122 in expenditures which were related to the fiscal year ended June 30, 2024, all eligibility requirements were not met until the current fiscal year to include these amount on the Schedule.

Finding Details

Finding 2025-002
U.S. Environmental Protection Agency Passed through State of Nevada Division of Environmental Protection Sewer Overflow and Stormwater Reuse Municipal Grant Program, 66.447 Procurement, Suspension and Debarment Significant Deficiency in Internal Control over Compliance and Noncompliance Grant Award Number: Affects all grant awards under assistance listing number 66.447 on the Schedule of Expenditures of Federal Awards Criteria: Title 2 U.S. Code of Federal Regulations Part 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (Uniform Guidance) requires contracts to include Disadvantaged Business Enterprise (DBE) Contract Terms and Conditions as specified by EPA regulations. Condition: Per review of the contract with the vendor, the required Disadvantaged Business Enterprise (DBE) Contract Terms and Conditions were missing. Cause: The City did not have adequate controls to ensure that DBE contract terms and conditions were included as required. Effect: The City may not be in compliance with EPA DBE requirements, potentially impacting eligibility for federal funding. Questions Costs: None reported. Context/Sampling: All contracts were selected for testing as there was only one contract during the year; the contract reviewed did not include the required DBE terms. Repeat Finding from Prior Year: No. Recommendation: We recommend the City enhance controls to ensure all required DBE contract terms and conditions are included. Views of Responsible Officials: Management agrees with the finding.
Finding 2025-003
U.S. Environmental Protection Agency Passed through State of Nevada Division of Environmental Protection Sewer Overflow and Stormwater Reuse Municipal Grant Program, 66.447 Reporting Significant Deficiency in Internal Control over Compliance Grant Award Number: Affects all grant awards under assistance listing number 66.447 on the Schedule of Expenditures of Federal Awards Criteria: 2CFR Section 200.303(a), Internal Controls, states that the non-Federal entity must establish and maintain effective internal control over the Federal award that provides reasonable assurance the the non-Federal entity is managing the Federal award in compliance with Federal statutes, regulations, and the terms and conditions of the Federal award. Cause: The City did not have adequate controls to ensure that all reimbursement requests were properly approved. Condition: Two out of five reimbursement requests had not evidence of approval. Effect: Reimbursement requests may be processed without proper authorization, increasing risk of improper payments. Questions Costs: None reported. Context/Sampling: All five reimbursement requests filed during the year were selected for testing; two lacked evidence of approval. Repeat Finding from Prior Year: No. Recommendation: We recommend the City implement procedures to ensure all reimbursement requests are properly approved and documented. Views of Responsible Officials: Management agrees with the finding.